May 31, 2018
JMMB Group Limited (JMMBGL) for the year ended March 31, 2018 recorded net interest income of $7.74 billion, a 14% or $972.83 million increase when compared with $6.77 billion recorded for the corresponding period in 2017. Interest income for the year increase 8% to close at $15.88 billion, relative to $14.71 billion recorded last year. Interest expenses increased 2% to total $8.14 billion relative to the $7.94 billion recorded for the same period in 2017. Net interest income for the quarter amounted to $2.08 billion, a 22% increase when compared with the $1.70 billion recorded for the same quarter in 2017.
Fees and commission income for the year amounted to $1.19 billion, an improvement of 29% on the $918.30 million recorded last year. Foreign exchange margins from cambio trading also recorded an increase of 11% year over year to close at $1.35 billion (2017: $1.22 billion).Net gains from securities trading however decreased 9%, to total $4.87 billion (2017: $5.38 billion). In addition, the Company reported an 87% increase on Fees earned on managing funds on behalf of clients, to total $690.42 million up from $369.01 million recorded in 2017.
Other income for the period totaled $70.60 million relative to the $12.17 million booked for 2017. Dividend income for the year end declined 24% to close at $23.68 million relative to $31.26 million recorded for the same period in 2017.
Operating expenses amounted to $11.44 billion, a growth of 10% (2017: $10.45 billion) which led to an operating profit of $4.50 billion, up 6% or $249.02 million when compared to the $4.25 billion booked the year prior. Of expenses, staff costs rose 12% to $6.02 billion (2017: $5.39 billion), while other expenses increased 7% to $5.42 billion (2017: $5.06 billion).
JMMBGL recorded an impairment loss on financial assets of $143.98 million, a gross increase of 1546% (2017: $8.74 million) compared to last year. No Loss on acquisition of net assets of overseas entity was recorded for the period relative to the loss of $87.65 million in 2017. However, gains on disposal of property, plant and equipment of $686,000 was booked for the period (2017: $5.18 million).
Profit before taxation for the year amounted of $4.35 billion, a 5% increase over the $4.16 million recorded for the corresponding period in 2017. Taxation for the period amounted to $748.59 million, 7% less when compared with the $805.52 million recorded for the same period for 2017.
Consequently, JMMBGL booked an 8% improvement in net profit for the period to total $3.60 billion compared to $3.35 billion reported for the similar period of 2017. Net profit for the quarter amounted to $1.03 billion a 54% increase relative to the $667.11 million reported for the same period 2017.
Net profit attributable to the shareholders of the company totalled $3.56 billion relative to $3.31 billion in 2017, a 7% increase year over year. For the quarter, JMMBGL booked net profit attributable to shareholders of $1.01 billion relative to $662.56 million reported for the corresponding quarter of 2017.
As a result, earnings per share (EPS) for the year ended March 31, 2018 amounted to $2.18 (2017: $2.03) while EPS for the quarter amounted to $0.62 (2017: $0.0.41). The number of shares used in the calculations amounted to 1,630,552,530 units. Notably, JMMBGL’s stock price closed trading on May 30, 2018, at $27.56.
Balance Sheet at a glance:
Total assets as at March 31, 2018 amounted to $291.71 billion relative to $251.56 billion in 2017. This was primarily due to a 14% increase in Investment Securities from $171.57 billion in 2017 to $194.90 billion as well as an 18% increase in Loans and notes receivables from $47.13 billion in 2017 to $55.63 billion.Shareholders ‘equity totalled $27.91 billion (2017: $25.91 billion). As a result, book value per share stood at $17.12 (2017: $15.89).
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